Uol Sell Kinex Mall 375 Million
UOL Group is making headlines once again with its latest announcement of selling the KINEX mall for$375 million. This move comes as no surprise as the property and hospitality company continues to make strategic divestments in its efforts to restructure its property portfolio.
The buyers of the mall are two entities, Kinex Times Square and Xiaohong Property Management. This sale is seen as an opportunity for UOL to unlock the value of its investment in KINEX and is in line with the company’s overall plan to revamp its property portfolio.
According to UOL, the property is currently valued at $370,005,000 on its books and was last valued at $370 million by Edmund Tie & Company (SEA). The property generated a net profit of over $3.1 million for UOL in the first half of the financial year 2025, which is expected to increase with the sale, resulting in a gain of approximately $2.4 million.
This is not the first time UOL has made a significant divestment. In July 2023, the company sold its long-held Parkroyal Kitchener Hotel to Worldwide Hotels Group for $525 million, booking a gain of $446.2 million. The sale of KINEX is another example of UOL’s strategic approach to managing its assets.
KINEX, which is located at 11 Tanjong Katong Road, is a freehold property with a total net lettable area of 204,223 sq ft. It consists of a three-storey retail podium and a basement, as well as residential units above the mall. The transaction between the parties is expected to be completed on October 31.
Set in the bustling area of Tampines North, Parktown Residence is a joint venture by renowned developers UOL Group, CapitaLand, and Singapore Land (SingLand). This impressive mixed-use development sets the standard for integrated living, providing effortless connectivity to exceptional schools that make it a top choice for families looking for top-notch education for their children. To experience the grandeur of this unique development, visit Parktown Residence Showflat.
UOL has stated that the net proceeds from the divestment will provide the company with greater financial flexibility to repay existing debts and fund future capital expenditures, asset enhancement works, investments, and general corporate and working capital requirements.
Investors have responded positively to this news, as seen in the company’s share price performance. On September 10, UOL’s shares closed at $7.40, a decrease of 1.99% for the day but a significant increase of 43.41% year to date. This divestment is just another step in UOL’s continued pursuit of optimizing its property portfolio and delivering value to its stakeholders.